Nasser Announces Nationalization of Canal Company
Gamal Abdel Nasser nationalized the Suez Canal Company and linked expected revenues to the financing of the Aswan High Dam.
Permanent historical records · Updated 2026-11-03
1956 in Egypt — Page 2
Explore 236 historical events and records for Egypt in 1956.
Historical records for Egypt in 1956
Sorted by month and day. Records with no month are shown last. Showing 40 of 236 unique records.
236Unique records
2 of 6Page
40Named events on this page
3Named people on this page
5Places on this page
July
Nationalization Leaves Canal Open Under Egyptian Management
Gamal Abdel Nasser transferred ownership of the canal company to Egypt but initially continued allowing ships to pass through the waterway.
Presidential Decree Transfers Company Assets to State
Gamal Abdel Nasser's decree transferred the Suez Canal Company's assets, rights, and obligations into Egyptian state ownership.
Shareholders Promised Paris Market Valuation
Gamal Abdel Nasser specified compensation for shareholders using the previous day's Paris stock market quotations as the valuation basis.
Suez Company Nationalisation Decree Signed
Nasser signed a presidential decree transferring the assets, rights and obligations of the Suez Canal Company to the Egyptian state.
Egypt Explains Development Purpose of Canal Revenue
Egyptian diplomacy defended canal nationalization and emphasized the country's right to direct income from the waterway toward national development.
Egyptian Authorities Continue Canal Operations
Gamal Abdel Nasser's new administration sought to keep vessels moving through the canal after the takeover to demonstrate operational continuity.
Egypt Defends Nationalization as Sovereign Act
Gamal Abdel Nasser defended the takeover as an exercise of Egyptian sovereignty rather than a decision to close international navigation.
Aswan Project Financing Reassessed
After Western support collapsed, Nasser’s government sought a different funding strategy for the High Dam, linking the project to Egyptian control over canal earnings.
Canal Company Staff Instructions Distributed
The new authority communicated the nationalisation decree’s requirements to canal personnel, instructing them to continue essential duties under Egyptian management.
Shipping Passage Supervision Transferred
Operational supervision of vessel movements passed to Egyptian officials during the July takeover, without an immediate general suspension of canal traffic.
August
Egypt Rejects Claims Nationalization Necessitates Closure
Egyptian diplomacy maintained that nationalization did not mean stopping normal shipping or denying international passage.
Egypt Asserts Responsibility for Canal Navigation
Gamal Abdel Nasser's administration maintained that Egypt could manage canal traffic while respecting the international waterway's established obligations.
Egyptian Canal Administration Faces Staffing Challenge
Gamal Abdel Nasser's canal authority had to retain skilled personnel and maintain safe transit as the ownership dispute intensified.
Egypt Rejects Loss of Sovereign Canal Authority
Gamal Abdel Nasser opposed proposals that would transfer effective control of the canal from the Egyptian government to an outside body.
Dam Funding Becomes Symbol of Egyptian Independence
Nasser portrayed the ability to finance the High Dam without Western conditions as part of Egypt's struggle for economic sovereignty.
Nasser Agrees to Receive Conference Committee
Gamal Abdel Nasser agreed to receive the five-nation delegation, allowing direct discussion of the proposal endorsed at London.
British French Sanctions Pressure Resisted
Egypt resisted foreign economic and diplomatic pressure imposed after nationalisation, refusing to surrender control of the Suez Canal Company.
Canal Administrative Continuity Maintained
The nationalised canal authority maintained daily administrative functions after the July takeover as Egyptian specialists replaced the former company’s senior management.
Canal Staff Expertise Retained
Younis’s administration relied on the continued work of technical personnel, including experienced employees of the former company, while reorganising supervision.
Canal Transit Obligations Reaffirmed
The Egyptian government maintained that nationalisation did not cancel the international rules governing passage through the Suez Canal.
Canal Users Interests Recognised
Egypt acknowledged that shipping nations had legitimate transit interests but maintained that those interests did not give them ownership of the canal company.
Egyptian Canal Negotiating Position Stated
Nasser set out Egypt’s willingness to discuss guarantees for navigation while resisting any restoration of foreign company control.
Foreign Concession Legality Defended
Egypt defended the nationalisation as an exercise of sovereign authority over an Egyptian company while maintaining that international navigation would remain protected.
Foreign Employees Status Clarified
Egypt stated that the nationalisation legislation required existing canal employees to continue working under the new authority, regardless of nationality.
International Control Plan Opposed
The Egyptian government opposed proposals for international control of canal operations, arguing that ownership and administration belonged within Egyptian sovereignty.
London Conference Invitation Declined
Nasser declined to attend the London conference convened to discuss the canal’s future, objecting to plans that could diminish Egypt’s authority.
Navigation Services Continuity Planned
The new canal administration organised pilotage, traffic control and other navigation services to keep ships moving after the change in ownership.
September
Egypt Maintains Control Despite International Pressure
Gamal Abdel Nasser continued to insist that canal nationalization was irreversible while foreign governments debated alternative arrangements.
Menzies Delegation Received
Nasser received a delegation led by Australian Prime Minister Robert Menzies to discuss proposals drawn from the London canal conference.
Nasser Receives International Canal Delegation
Gamal Abdel Nasser received the committee chaired by Robert Menzies and heard the proposal supported by eighteen London Conference governments.
Egypt Refuses Proposed International Operating Board
Gamal Abdel Nasser resisted an arrangement that would transfer effective operational authority over the canal to an international body.
Egypt Declines London Majority Canal Plan
Gamal Abdel Nasser rejected the proposal advanced by the five-nation committee because it would compromise Egypt's control of the canal.
Menzies Canal Plan Rejected
After discussions with the Menzies delegation, Nasser rejected a proposed international operating arrangement that he considered incompatible with national control.
Egyptian Pilots Maintain Navigation After Staff Departure
Egyptian authorities kept canal traffic operating after the withdrawal of many foreign pilots, strengthening claims of operational competence.
British French Security Council Complaint
Britain and France requested Security Council consideration of the canal dispute on 23 September; Egypt prepared to defend the legality of its takeover.
Egyptian Countercomplaint Filed
Egypt asked the Security Council to consider British and French actions that it characterised as threats to international peace and Egyptian sovereignty.
Security Council Canal Debate Begins
The Security Council opened debate on the canal dispute on 26 September, with Egypt defending national control against British and French objections.
Canal Conference Counterproposal Considered
In discussions following the London conference, Egypt argued for negotiated international assurances that preserved Egyptian administration of the canal.
Canal Operating Authority Legitimacy Asserted
Nasser’s government presented the Egyptian canal authority as the lawful operator of the waterway despite external proposals to transfer traffic management elsewhere.
How these records were prepared
Generated from the World History Database historical_events table. Identical display records are collapsed; descriptions otherwise retain the stored text. Coverage and source quality vary. Check primary and specialist sources before citing individual historical claims.